A Whole New Area Of Opportunity Is Evolving Around Internet Business But Does It Give Additional Jobs Or Replace Others Currently In A More Customary Setting
A entire new area of opportunity is developing around internet business but does it offer additional jobs or replace others in a more traditional setting? Reports continue to appear about the growth in the Online Jobs market and how it will have a positive impact on the number of unemployed in the UK over the next couple of years. On the surface of it this would seem to be right.
Firms are popping up at a great rate taking advantage of the big demand in online shopping from individual objects for personal use such as presents, household appliances, clothing and books to the business to business type trade where larger scale trading occurs. We can also see the expansion of existing companies who have realised the online opportunities and have increased their offering, moving into online sales and therefore widening their audience enormously. Both of these circumstances will mean an increase in employee numbers whether they Work From Home or in the office or factory.
Certainly in the short term this will cut down the jobless figures as existing roles are maintained and people are recruited into the new roles created and developed by the company from this exciting new source. On top of the sales processing or customer service positions there will also be increases in support roles such as human resources, finance departments and of course in production areas. As demand on each particular company increases due to their successful internet promotion virtually all areas of the business will need to expand. The company will also need to handle larger distribution, banking and accountancy requirements meaning that there will be increased demand on outside organizations servicing the growing company.
script type="text/javascript">However at some point, maybe after the exhilaration brought on by the spectacular increase in sales has calmed, the business will need to reevaluate all of it’s elements. It may be that this takes a while to happen, however in the most perceptive companies they may already be anticipating drops in other sales areas. The company may at that point see that areas such as high street sales have been negatively affected by the move towards internet business and it may be decided that it is no longer worth functioning in those areas.
So ultimately we could see simply a shift in the sales arena, from the more conservative sorts such as high street shops and catalogue chains to the newer and more successful Internet Business. Jobs will go in the old sectors as high street shop profits fall and organizations see a much better return on investment from their e-commerce activities. The workforce in these shrinking markets will reduce and we could end up with a jobless stat that is larger than the current one.
Of course, it’s not at all sure that there will be an increase in job seekers as a result of these trends. History from the start of the industrial revolution shows us that these types of efficiencies make society as a whole richer over time. A percentage of the people losing their jobs will start up new micro businesses, and taking advantage of the changes which caused their owners to lose their jobs in the first place, enough of these firms will grow into important employers in their own right. Thereby offrering work to those whose jobs disappeared at the start of the trend.
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